“The Trade Meeting in Europe between The United States of America and China has been very successful! It is expected to conclude shortly,” Trump announced on Truth Social on Monday, hinting at positive progress regarding TikTok’s future. He mentioned a “certain company” that is highly desired by young Americans, a longstanding priority of Trump’s since his first term.
US Treasury Secretary Scott Bessent has confirmed that a framework agreement has been reached, and President Trump is set to directly engage with Chinese leader Xi Jinping on Friday to finalize the deal. These developments indicate significant advancements in trade discussions between Chinese and US diplomats in Spain. Trump himself stated on Monday, “I will be speaking to President Xi on Friday.”
“President Trump played a crucial role in this, we had a discussion with him last night, and we received specific guidance from him that we shared with our Chinese counterparts,” Bessent stated in Madrid, where he leads the American delegation. “Without his leadership and the leverage he provides, we would not have been able to achieve the deal today.”
“Our focus was primarily on TikTok, ensuring a fair deal for the Chinese while addressing US national security concerns, and that’s the agreement we have reached,” Bessent explained. “We also aim to guarantee a fair investment environment for the Chinese in the United States, with priority always given to US national security.”
Trump’s post exuded unexpected optimism, highlighting the positive momentum in discussions with Beijing: “The relationship remains very strong!!!” as stated by the president.
A ceasefire on tariffs for Chinese imports has been extended until November, with a reciprocal tariff of 10% remaining active during the suspension. Regarding TikTok, a bipartisan law passed by Congress and signed by former President Joe Biden prohibits the app from operating in the US unless its China-based parent company sells its ownership in the platform’s US assets. Recent headlines include:
- BESSENT: NEXT U.S.-CHINA TALKS MAY LEAD TO ANOTHER 90-DAY EXTENSION OF TARIFF CEASEFIRE, EXPECTED BEFORE NOV 10 DEADLINE
- BESSENT: CHINESE NEGOTIATORS DEMANDING BUT AWARE THEY HAVE 3.5 YEARS TO STABILIZE U.S. TRADE RELATIONSHIP TO AVOID SEPARATION
- BESSENT: TIKTOK COMMERCIAL TERMS WILL PROTECT U.S. NATIONAL SECURITY INTERESTS AND THE APP’S ‘CHINESE CHARACTERISTICS’
- BESSENT STATES THREAT OF TIKTOK CLOSURE PROMPTED CHINESE NEGOTIATORS TO AGREE TO A DIVESTITURE DEAL
- BESSENT: CHINESE DELEGATION INITIALLY SOUGHT ‘COMPENSATION’ FOR TIKTOK SALE THROUGH TARIFF AND EXPORT CONTROL CONCESSIONS
The US recently added approximately two dozen more China-based companies to its entity list, subjecting them to restrictions for “acting against the national security or foreign policy interests of the US” . This has increased pressure and leverage.
The talks in Spain could potentially lead to a face-to-face meeting between Trump and Xi in October, coinciding with their scheduled attendance at a summit in South Korea that month. Wendy Cutler, a senior vice-president at the Asia Society Policy Institute and a seasoned US trade negotiator, emphasized the need for intensified efforts by the US and China to deliver results before the possible Trump-Xi meeting.
However, there are other complicating factors to consider, such as Washington’s push for the G-7 to impose tariffs of up to 100% on China for purchasing Russian oil.
Beijing’s foreign ministry criticized this move on Monday as “typical bullying and economic coercion,” urging the US administration to choose dialogue over confrontation to address differences.
Loading recommendations…